Indian shares rebound as financials rally

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Oct 31 (Reuters) - Indian shares clawed back earlier losses to end higher on Wednesday, bolstered by a rally in financial stocks after the country’s government stressed that the Reserve Bank of India has autonomy, calming investors worried about a growing public rift with the central bank.

Still, the NSE index registered its worst month since February 2016, down 6.7 percent. The BSE index ended October 4.9 percent lower.

Housing finance companies were relieved after the government clarified its stance on the central bank, an analyst said, adding that the stocks may have been helped after a housing finance company said it had raised capital.